Local governments are giving more pension funds to the state pension manager to improve returns, but Beijing will unlikely loosen its grip on the requirement they invest solely onshore.
Having secured a dealing licence in Hong Kong last year, Canada's biggest pension fund is considering locating traders in Asia. It has also added an equity investment head in India.
A rapidly aging society means pension reform is needed as payouts can’t keep up with contributions, says Liu Li-ju of Taiwan’s Bureau of Labor Funds.
The state pension fund aims to invite bids for the two mandates by the end of the year to raise its alt exposure and replace underperforming managers, AsianInvestor can reveal.
The impacts of the pandemic have been more significant for some pension funds than others, prompting renewed talk of mergers between smaller funds.
The most vulnerable are hit hardest by the pandemic under the Hong Kong Mandatory Provident Fund scheme’s offsetting mechanism, underscoring why it should be removed.